| 3. |
Preference dividend Coverage ratio |
= |
EAT
|
|
| Preference dividend liability |
| |
|
| |
This ratio measures the ability of a firm to pay dividend on preference shares which carry a stated rate of return. |
| |
| 4. |
Capital Gearing
ratio |
= |
Preference Share Capital + Debenture + Long Term Loan
|
| Equity Share Capital + Reserves & Surplus - Losses |
| |
|
| |
|
